A major U.S. private equity firm has completed the sale of a significant Colombian oil production company to a Philippine infrastructure investment group, according to an announcement made Wednesday.
Carlyle Group has finalized a deal to transfer ownership of SierraCol to Prime Infrastructure Capital, which is controlled by prominent Filipino business leader Enrique K. Razon Jr. The financial terms of the transaction were not revealed.
SierraCol was established by Carlyle in 2020 following the acquisition of petroleum assets from Occidental Petroleum. Industry sources previously indicated that Carlyle had been seeking approximately $1.5 billion for the Colombian operation in 2025.
The sale comes as Carlyle continues expanding its energy portfolio through other major deals. In January, the company reached a preliminary agreement to acquire most international holdings from Russian energy giant Lukoil, which faces sanctions, while also planning to combine its European refining operation Moeve with the downstream operations of Portugal’s Galp energy company.
“This is where our track record is strong and I expect to continue that. We have a clear playbook for executing complex carve-outs and strengthening these businesses,” said Bob Maguire, co-head of Carlyle International Energy Partners (CIEP).
Maguire noted that CIEP maintains flexibility regarding investment allocation between downstream and upstream energy acquisitions.
CIEP managing director Parminder Singh explained to Reuters that acquiring assets from major energy companies has become increasingly challenging in today’s market conditions, as large corporations focus on expanding their own oil and gas holdings while scaling back low-carbon initiatives.
Since establishing SierraCol in 2020, Carlyle has poured approximately $1 billion into the operation, primarily upgrading existing facilities to maintain steady net production at roughly 45,000 barrels of oil equivalent daily while cutting operational emissions.
The Colombian company’s total daily output reaches 77,000 barrels of oil equivalent, representing approximately 10% of Colombia’s national oil production capacity.
Financial data from SierraCol’s website shows the company generated $205 million in free cash flow over the 12 months ending in October 2025, while carrying net debt of $618 million.
Prime Infrastructure Capital operates various energy, waste management, and water infrastructure projects throughout its portfolio.
